Business insurance for freelancers and solopreneurs……I didn’t wake up one day and say, “You know what would be fun? Business insurance.”
I woke up in Queens, checked my email, saw a new client contract, scrolled down, and there it was:
“Please provide proof of insurance.”
I stared at the screen.
Long sip of coffee.
Another sip.
Proof of… what insurance?
That’s how my relationship with business insurance for freelancers and solopreneurs started. Not with excitement. With confusion. And a mild sense of doom. The good kind. The motivating kind.
If you’re freelancing or solopreneuring (still hate that word, still using it), there’s a phase where you don’t feel like a “real business.” It’s just you, your laptop, your Wi-Fi that randomly drops during Zoom calls, and a dream. Maybe two dreams. One of them is definitely “not checking Slack after 6pm.”
Insurance feels like something other people need. Big companies. People with offices. People with actual chairs instead of whatever weird stool you’re currently sitting on.
And yet.
The Lie I Told Myself for Way Too Long
Here’s the lie:
“I don’t need business insurance. I’m just one person.”
I said that for years.
Then:
- A client asked about liability
- Another client sent a contract full of scary words
- A friend got sued over something tiny (but expensive)
Suddenly I realized—being solo doesn’t mean being invisible. If anything, it means you’re more exposed. There’s no company buffer. No legal department. No one else to point at and say, “That was them.”
It’s just you. And your name. And your bank account.
Fun.
What Business Insurance Actually Means When You’re Solo
Let’s clear something up.
Business insurance for freelancers and solopreneurs isn’t about preparing for some dramatic courtroom scene where a judge bangs a gavel and everyone gasps.
It’s usually about boring, annoying, everyday stuff like:
- A client claiming your work caused them financial loss
- Someone tripping over your equipment during a meeting
- A data breach (even a small one)
- A contract requiring coverage before they pay you
You don’t need all the insurance. You need the right insurance. Big difference.
The Main Types I Eventually Learned (After Googling Like a Maniac)
1. General Liability Insurance (a.k.a. “Oops” Insurance)
This covers:
- Bodily injury
- Property damage
- Accidents that happen because you exist near other humans
Example: You meet a client in person. Your bag knocks over their fancy laptop. Chaos.
If you ever leave your apartment to work—or have people come to you—this matters.
2. Professional Liability / Errors & Omissions
This one hit close to home.
It covers claims like:
- “Your advice caused us losses”
- “This didn’t work like you said it would”
- “We’re disappointed and now litigious”
If you’re a:
- Consultant
- Designer
- Developer
- Writer
- Coach
Yeah. You probably want this.
3. Cyber Insurance (I Rolled My Eyes… Then Bought It)
I thought cyber insurance was dramatic.
Then I reused a password and got an alert.
Then I stopped laughing.
If you:
- Store client data
- Send invoices
- Use cloud tools
- Exist online
Cyber insurance isn’t paranoid anymore. It’s 2026. Everything is hackable. Including your confidence.
4. Business Owner’s Policy (BOP) — Even for One-Person Shows
A BOP bundles:
- General liability
- Sometimes property
- Sometimes cyber
It’s often cheaper than buying things separately. Insurance loves bundles more than phone companies do.
The Moment It Finally Clicked
A client once said to me:
“We require all vendors to carry insurance.”
Vendor.
They called me a vendor.
That was the moment I realized—I might feel like I’m winging it, but to clients? I’m a business. A real one. With expectations. And paperwork.
Insurance wasn’t about fear anymore. It was about credibility.
What Freelancers Get Wrong About Insurance (I Did All of These)
- Assuming personal insurance covers business stuff (it doesn’t)
- Thinking “small income = small risk” (lol no)
- Buying the cheapest policy without reading it
- Ignoring exclusions
- Waiting until a client forces the issue (panic buying)
If this sounds familiar… welcome. You’re normal.
How Much Does Business Insurance for Freelancers Actually Cost?
This surprised me.
For many freelancers and solopreneurs:
- General liability: $20–40/month
- Professional liability: $25–60/month
- Cyber: depends, but often reasonable
Less than my monthly takeout budget.
Which hurt to realize.
The Emotional Side Nobody Talks About
Insurance gave me something unexpected.
Confidence.
I stopped second-guessing contracts and stopped panicking over “what ifs.”
I stopped feeling like I was pretending to be a business.
There’s something grounding about knowing if things go sideways, you’re not alone in it.
Final Thoughts (Because This Isn’t a TED Talk)
Business insurance for freelancers and solopreneurs isn’t about becoming corporate.
It’s about:
- Protecting yourself
- Looking professional
- Giving future-you fewer headaches
I didn’t get this right immediately and delayed. I avoided and pretended it wasn’t urgent.
Then it was.
If you’re reading this and thinking, “Yeah… I should probably look into this,” that’s your cue. Not to panic. Just to start.
And if you want help figuring out what coverage makes sense for your freelance life—not the generic internet version—I’ve been there. Happy to talk it through.
